4 Efforts That Can Be Done The Companies to Overcome High Turnover Salespeople


4 Efforts That Can Be Done The Companies to Overcome High Turnover Salespeople

Based on research by Glassdoor, the position of salesperson or professional salespeople is one of popular positions in a company. However, sales department also has a high turnover rate due to target pressure, power shortages and other factors.

While we realize that sales department is vanguard of the company, the annual turnover in the sales department could reach at least 20% – reaching 34% if voluntary and involuntary turnover are combined, according to Bridge Group’s research. Losing on recruitment fees, onboarding, impeded income, potential loss of clients, are costs incurred by the company which, when encapsulated, can reach 200% of a salesperson’s annual salary.

There are many causes of turnover of salespeople and each company encountered different problems. However, the following efforts can be made in general to retain salespeople.

1. Starting from the selection process

Finding a salesperson that really has sufficient quality skill is tough job. The company might choose the wrong candidate become frustrated and ultimately resigned. The Gallup Management Journal notes one way companies can improve the way of selection is to make a proven top performance sales person’s profile as a model to recruit the new one. Of course, it is also important for companies to conduct pre-elementary screening prior the decision.

2. Improve management

Sometimes a skill set is not always the root cause; it may be that the manager does not provide sufficient training to new employees. Adequate training and guidance from managers help direct the skills of salespeople properly. In addition, focusing on inappropriate parameters can trigger a high turnover. For example, a salesperson that performs very well would be upset if the management seriously disputed his/her 10 minutes late. He/she will feel his/her contribution to the sale is not considered nor appreciated.

3. Set clear goals

Salespersons can perform well if they know a clear target, makes sense and can be accounted for. The target is not a target if it can be easily achieved. However, the target is said to be absurd if no matter how the effort the team deploys, it still does not reach the target. A target becomes the target if it was likely to be achieved if the team tried it. Therefore, it is important to involve salespeople and managers in determining target team targets and determine conflicting results against target.

4. Transparent remuneration

Wahyu Purnomo, an author and Business Trainer & Sales Trainer Specialist, stated on his website that the biggest factor that makes a salesperson want to survive with all pressure in the field of sales is remuneration in the form of bonuses, incentives, or commissions. Which remuneration scheme the company chooses depends on company policy. According to him, the most important remuneration is transparent and clear calculation so the sales force knows what the target and what will be got.







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